On April 24, 2018, walkout was resorted to by the Chief Ministers of Sindh, Khyber Pakhtunkhwa and Balochistan after differences occurred between the federal government and these provinces over the development budget during a meeting of the National Economic Council (NEC). Though the Federal Minister for Planning offered to resolve the issue, the offer was declined by Chief Ministers Murad Ali Shah, Pervaiz Khattak and Abdul Quddus Bizenjo. In a joint press conference afterwards, they resented stubbornness of the federal government in considering their demand of development projects and presenting budget beyond the mandate. The federal government ignored all demands and presented full year budget on April 27, 2018. Giving his stance, Ahsan Iqbal labelled the move “politically motivated”, and said the federal government could not present the revenue and expenditure details on a three-month basis. According to him, NEC is only a recommending body and the approval of development programme was not its mandate. Chief ministers of Sindh, Khyber Pakhtunkhwa and Balochistan emphasised that Article 156 of the constitution provides for equitable and fair distribution of development, but the centre refused to accept their demands. Murad Ali Shah Said: “We were told at the meeting that your approval is not required.” He said after this, we took a clear stand that then there was no reason for us to sit in the meeting. Balochistan CM, Abdul Quddus Bizenjo, questioned as to why they were called if they had no say in the development programmes. After the 18th amendment in the constitution, planning and fiscal management, both at federal and provincial levels, is posing serious challenges to federal and provincial governments. It is tragic that even after eight years of 18th amendment, the provinces are still complaining about their rights. As demonstrated by Ahsan Iqbal, a centralistic mindset continues to prevail. It is evident from the fact that the centre is not devolving financially lucrative organisations like Workers Welfare Fund, EOBI, Evacuee Trust Property, etc. There is a need to reconsider the role of the Planning Commission after 18thAmendment. It is presently preparing two documents — Visions 2025 and the 11th Five Year Plan. With the devolution of a large number of subjects to the Provinces under the 18th amendment, the deletion of the subject of national planning from the exclusive domain of the Federal Government, and the placing of the National Economic Council (NEC) in the list of subjects mandated to be the joint responsibility of the Federal Government and the Provincial Governments, such moves raise fears of re-centralisation and reopening of settled issues. The 18th amendment, from a holistic point of view, provides for better fiscal management and economic growth of the country Planning, in the post-18th amendment period has to be federalised rather than centralised. The 18th Amendment has redefined NEC on the pattern of Council of Common Interests (CCI). The spirit of the 18th Amendment can be satisfied by (1) making Planning Commission, instead of the Cabinet Division, the Secretariat of NEC and (2) by reducing the number of its members to five, one each from the Provinces and the Federal Government. Prime Minister chairs the NEC and there is no need for him to Chair the Planning Commission. The Chairman should be appointed by the CCI to represent the Federation. It is clear that after the 18th amendment, the Planning Commission can no more be a centralised body. Federal Legislative List, Part I, contains subjects which lie in the exclusive jurisdiction of the Federal Government. Before the 18th amendment, its item 32 related to planning — a “National planning and national economic coordination including planning and coordination of scientific and technological research.” After the 18th amendment, the subject was included in the Federal Legislative List, Part-II. The last-mentioned List of subjects is neither exclusively federal nor provincial — it is an area of joint responsibility. Therefore, in the constitution, a special institution, CCI, has been created to supervise the affairs of the Federation listed in Part II of the Federal Legislative List. Mr Ahsan Iqbal should read Article 154(1) which states: “The Council shall formulate and regulate policies in relation to matters in Part II of the Federal Legislative List and shall exercise supervision and control over related institutions.” The NEC had existed before the adoption of 1973 constitution. It was the highest decision making body concerned with the economy and development planning under 1962 constitution. An authoritarian president headed the NEC as well as the Planning Commission. The latter was a powerful organisation charged with the responsibility of preparing centrally controlled plans and the former was the approval forum for these plans. Unfortunately even after 1973 constitution, Planning Commission continued to be centralised. This position has been changed after the 18th amendment as the centralised planning, and the Planning Commission is no more permissible. Firstly, Article 154(1) of the constitution provides that the CCI shall formulate and regulate policies in relation to matters enumerated in Part-II of the Federal Legislative List and shall exercise supervision and control over related institutions. By abolishing the Concurrent List and deleting certain items from the Federal Legislative List Part-I, the 18th amendment has substantially increased the quantum of provincial autonomy. Secondly, the role of provinces in decision making concerning the federation has been substantially enhanced by the enlargement of the Federal Legislative List Part-II. Provinces now have more subjects to deal with than was the case before the 18th amendment. In the first place, they have been given full and effective control of the social sector, especially education, health, population, labour, social welfare, Zakat, Auqaf, environment, tourism, print media and cinematograph films, culture and archaeology etc. Other than standards of higher education, research and international student’s exchange, the provinces are now entrusted with Education policy formulation, planning, and curriculum standards. The 18th amendment also provided through Article 167(4) that, ‘A Province may raise domestic or international loan, or give guarantees on the security of the Provincial Consolidated Fund within such limits and subject to such conditions as may be specified by the National Economic Council’. In view of Article 167(4), the role of NEC has become very important. The 18th amendment, from a holistic point of view, provides for better fiscal management and economic growth of Pakistan — making federation a true representative of all people and not just of a few privileged ones, as has been the case for the last 70 years of its existence. The message of the 18th amendment is clear that the provinces should take charge of their own planning and development. This needs de-bureaucratisation of planning, appropriate investment in human capital and democratic devolution down to local government as per Article 140A of the constitution. The provinces have so far failed to fulfil these constitutional commands while centre continues to resort to federal highhandedness in economic planning and fiscal management. The writer, Advocate Supreme Court, is Adjunct Faculty at Lahore University of Management Sciences (LUMS). Email: ikram@huzaimaikram.com; Twitter: @drikramulhaq Published in Daily Times, April 29th 2018.